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[deleted] t1_j4pjio6 wrote

Reply to comment by Hour-Watch8988 in New apartment buildings in low-income areas lead to lower rents in nearby housing units. This runs contrary to popular claims that new market-rate housing causes an uptick in rents and leads to the displacement of low-income people. by smurfyjenkins

im not getting confused im just trying to lead the conversation. lead to the conclusion that there are other factors and its not purely "supply/demand", nothing is that simple. such as the fact that many people choose to pay a premium.

someone could flood the market with a million apartments, if they own all the apartments they have no incentive to lower the prices. & thats a lot of the type of real estate we're seeing, one company buying everything up

the same way you can have a million gas stations but they're always basically the same cost because the supply only comes from like 3 different places

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cantdressherself t1_j50xjvy wrote

I fantasize sometimes about becoming a billionaire and buying up apartments and setting the rent below market rate.

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[deleted] t1_j50y9kz wrote

i have a similar dream haha. Id love to win the lottery and build beautiful walkable affordable mixed zone neighborhoods that promote small businesses

I honestly don't think itd be profitable but if I had the money I'd pay people to bring their business there. like butchers and bakeries and grocery and coffee shops. they probably can't survive on the business of 1 neighborhood but id just pay them to stay haha

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Hour-Watch8988 t1_j4qo7xl wrote

We aren’t anywhere close to the point where individual owners have monopolistic power over housing supply. Even if an individual company flooded the market with a bunch of units, they’d still have to compete with existing stock.

I’m sorry but I have to ask: what’s your training in economics?

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[deleted] t1_j4qt3cz wrote

The company Invitation Homes (owned by Blackstone) already owns 90% of the homes in some areas of Atlanta & a total of 12,555 homes in Atlanta in general. they have many other real estate purchases across the country as well

investors accounted for 24% of all homes purchased in 2021 as well

corporations & investment firms are buying up real estate & it won't be long until there are monopolies all over the country

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